In short

A roundup of today's other stories in brief.

A roundup of today's other stories in brief.

Interest offers on current accounts

Consumers can finally get double-digit interest paid on their current account balances - but only for a limited time.

Permanent TSB is to pay interest of 10 per cent on account balances in new current accounts opened before May 4th. The rate will apply to balances of up to €1,500 for the rest of 2007 once the customer's salary of €1,500 or more a month is paid into the account each month. After the introductory offer expires, the interest rate will be 4 per cent.

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AIB earlier this week increased the rate it already pays on its high interest current account from 4 per cent to 11 per cent for the next three months. The high interest account pays interest on balances of up to €1,500 to customers with monthly lodgments of €1,500 or more. After June 14th, the rate will revert to 4 per cent.

Marketing activity surrounding current accounts is intensifying, with Ulster Bank offering a €150 cash incentive to those who open an account before the end of the month.

Savers to benefit from rate increase

Savers will benefit from last week's increase in the European Central Bank (ECB) base rate of interest after several regular savings and deposit account providers passed on the rate hike to customers.

Anglo Irish Bank increased the rate on its regular saver account from 6 per cent to 7 per cent for savings of €100-€1,000 a month. Halifax also increased its monthly saver account rate to 7 per cent for monthly savings of €10-€750.

RaboDirect increased its deposit rate from 4.75 per cent to 5 per cent on the first €10,000 and from 3.7 per cent to 3.75 per cent on savings in excess of €10,000.

Meanwhile, Ulster Bank launched a new demand deposit rate paying 4.25 per cent on amounts of €10,000 or more and First Active introduced a new version of its elevator account, the deposit product where the interest paid on sums of €5,000 or more increases over the investment period of five years.

Borrowers warned of limited choice

More than a third of so-called independent mortgage brokers deal with fewer than half the lenders in the market and are not giving consumers a proper choice of lenders, according to a survey conducted by Lansdowne market research.

The research, carried out on behalf of IFG Mortgages, found that mortgage brokers who dealt with fewer than six out of the 13 lenders in the Irish market described themselves as independent.

IFG managing director Trevor Grant said these brokers were restricted in the choices they could offer potential mortgage customers.

Mr Grant said interest rate hikes had increased the need for borrowers to shop around for the best mortgage deal. About 40 per cent of mortgages are taken out through a broker.

Call for SSIAs to be put into pensions

The Pensions Board has called on special savings incentive account (SSIA) holders to use their savings to kick-start a pension.

"A pension is a more profitable scheme than an SSIA, but it is simply conducted over a longer term," said Pensions Board chief executive Brendan Kennedy during this week's National Pensions Action Week event.

The Pensions Board has posted an SSIA and pensions calculator on its website to show consumers the positive impact that their SSIA lump sum could have on their retirement savings.

About 45 per cent of SSIA holders are young first-time savers under the age of 40.

On Monday, the Pensions Board also said half of workers had not been offered access to a pension by their employer, despite laws requiring them to do so.

Mr Kennedy said the board regarded non-compliance by employers as a serious matter.